Punj Lloyd - Sets Up Engineering Services Outsourcing Co

Punj Lloyd Plans New Arm

Punj Lloyd Ltd has announced that the Company has set up a new Company for carrying out back office engineering activities for the Punj Lloyd Group in India. Simon Carves India Ltd - the new Company is a wholly owned subsidiary of the Company., catering to the Group's engineering requirements in the initial phase. However, to ensure that the Company adopts best practices and remains competitive, specialized verticals will be gradually build up in the Company with domain specialists to provide offshored engineering services across other sectors as well outside the group.

Simon Carves India will integrate the engineering expertise of the Company with its two recent acquisitions - Sembawang Engineers & Constructors and Simon Carves, UK.

Engineering Services Outsourcing (ESO) holds tremendous potential because of the robust growth across Europe, Asia and US leading to significant development in the engineering services sector, Reports indicate that India has the potential to garner around 25 per cent of the global ESO pie, worth around $50 billion by 2020. Currently, the ESO market is worth around $15 billion with India garnering a healthy 12 per cent share. With a vision to capitalize the benefits that ESO presents, the Company has directed its steps in this direction by establishing this new Company. The swell in the global spending on engineering services will make Companies seek access to high quality talent pool in emerging markets, which the Company already boasts of.

The Company has also appointed Mr. Sanjay Goel as the CEO of the Simon Carves India Ltd to play a vital role in shaping the Company and deriving the maximum benefits from it.

The Company foresees great prospects emerging for the Group with the engineering services market expected to touch $1,100 billion by 2020, of which outsourced component could be worth around $200 billion. The group believes that the new Company, under the vision and leadership of Mr. Sanjay Goel, will be in good position to capitalize this opportunity in the best possible way.